Minnesota's first-in-the-nation law banning prediction markets is halted in federal court

A federal judge temporarily blocked Minnesota's first-in-the-nation law banning prediction markets before it could take effect, citing potential irreparable harm to operators like Kalshi and Polymarket. The decision aligns with arguments by the U.S. Commodity Futures Trading Commission (CFTC) and the companies that federal law, not state regulations, governs these markets. Minnesota’s attorney general disputes the ruling, calling prediction markets 'gambling' and asserting state regulatory authority.